O REILLY AUTOMOTIVE INC Earnings Per Share Disclosure
NOTE 18 – EARNINGS PER SHARE
The following table illustrates the computation of basic and diluted earnings per share for the years ended December 31, 2025, 2024, and 2023 (in thousands, except per share data):
For the Year Ended | |||||||||
December 31, | |||||||||
| 2025 | | 2024 | | 2023 | ||||
Numerator (basic and diluted): |
| |
| |
| | |||
Net income | $ | 2,538,209 | $ | 2,386,680 | $ | 2,346,581 | |||
Denominator: |
| |
| |
| | |||
Weighted-average common shares outstanding – basic |
| 851,472 |
| 875,082 |
| 907,131 | |||
Effect of stock options (1) |
| 4,447 |
| 5,490 |
| 7,845 | |||
Weighted-average common shares outstanding – assuming dilution |
| 855,919 |
| 880,572 |
| 914,976 | |||
Earnings per share: |
| |
| |
| | |||
Earnings per share-basic | $ | 2.98 | $ | 2.73 | $ | 2.59 | |||
Earnings per share-assuming dilution | $ | 2.97 | $ | 2.71 | $ | 2.56 | |||
Antidilutive potential common shares not included in the calculation of diluted earnings per share: |
| |
| |
| | |||
Stock options (1) |
| 1,142 |
| 1,490 |
| 1,421 | |||
Weighted-average exercise price per share of antidilutive stock options (1) | $ | 84.51 | $ | 67.79 | $ | 55.74 | |||
| (1) | See Note 14 for further information concerning the terms of the Company’s share-based compensation plans. |
See Note 11 for information concerning the Company’s subsequent share repurchases.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 27, 2026 | Showing above |
| 2024 | Feb 28, 2025 | |
| 2023 | Feb 28, 2024 | |
| 2022 | Feb 28, 2023 | |
| 2021 | Feb 28, 2022 | |
| 2020 | Feb 26, 2021 | |
| 2019 | Feb 28, 2020 | |
| 2018 | Feb 27, 2019 | |
| 2017 | Feb 28, 2018 | |
| 2016 | Feb 28, 2017 | |
| 2015 | Feb 26, 2016 | |
About Earnings Per Share Disclosures
The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.
Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.